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Story perspectives

2024 Income Gap: Wealthy Spend More on Luxuries

3/31/2026

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Story summary
  • In 2024, top 20% earned $264,510 and spent more on housing, insurance, and transportation than the lowest 20%, which earned $16,658.
  • Lower-income households allocate more of their budgets to food and healthcare.
  • As of early 2026, slowing job growth and rising costs affect lower-income consumers.
  • The ongoing Middle East conflict is expected to reduce purchasing power and discretionary spending.
  • High-income households may face challenges if financial market fluctuations affect spending.